Fiduciary Management Inc. (FMI), an independent money management firm, released its first quarter 2023 investor letter. A copy of the same can be downloaded here. A global banking crisis and severe financial market volatility affected the market in the first quarter of 2023. The FMI Large Cap Strategy gained 4.0% (net) in the first quarter compared to a 7.50% increase in the S&P 500 Index and a 0.93% gain in the iShares Russell 1000 Value ETF. The FMI Small Cap Strategy gained 7.6% (net) compared to a 2.74% gain in the Russell 2000 Index and a 0.66% decline in the Russell 2000 Value Index in the same period. The FMI All Cap Equity gained 5.1% (net) compared to 7.07% for the iShares Russell 3000 ETF and the FMI International Strategies gained 9.8% (net) on a currency-hedged basis and 10.6% (net) on a currency unhedged basis in the initial quarter of 2023. In addition, please check the fund’s top five holdings to know its best picks in 2023.
FMI highlighted stocks like Fortune Brands Innovations, Inc. (NYSE:FBIN) in the first quarter 2023 investor letter. Headquartered in Deerfield, Illinois, Fortune Brands Innovations, Inc. (NYSE:FBIN) is a home and security products provider. On April 11, 2023, Fortune Brands Innovations, Inc. (NYSE:FBIN) stock closed at $58.64 per share. One-month return of Fortune Brands Innovations, Inc. (NYSE:FBIN) was 4.30%, and its shares lost 3.76% of their value over the last 52 weeks. Fortune Brands Innovations, Inc. (NYSE:FBIN) has a market capitalization of $7.446 billion.
FMI made the following comment about Fortune Brands Innovations, Inc. (NYSE:FBIN) in its Q1 2023 investor letter:
“Fortune Brands Innovations, Inc. (NYSE:FBIN) has one of the highest quality portfolios of branded building products in the world. Recognizable brands include Moen, Therma-Tru, Larson, Master Lock, and Sentry Safe. The stock traded down on housing-related macro concerns, along with an overhang from the company’s now-completed spinoff of its lower-quality cabinetry business. Brand, innovation, and distribution strength are key differentiators, as the company has a leading market position in the attractive and consolidated global plumbing market. R&R accounts for over two thirds of the revenue mix, which should perform more defensively given the lower ticket nature of the products. The company has a strong track record of organic growth, margin expansion, and a strong (mid- teens) return on invested capital (ROIC). Organic sales growth averaged 7% annually over the last decade, approximately 2-3% above estimated end-market growth. The company is embracing simplification and capital returns, which should be accretive to shareholder value. On 2024 estimates, the stock trades at only 14 times earnings per share (EPS).”
fabiodevilla/Shutterstock.com
Fortune Brands Innovations, Inc. (NYSE:FBIN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 36 hedge fund portfolios held Fortune Brands Innovations, Inc. (NYSE:FBIN) at the end of the fourth quarter which was 39 in the previous quarter.
We discussed Fortune Brands Innovations, Inc. (NYSE:FBIN) in another article and shared Baron Funds’ views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q1 2023 page for more investor letters from hedge funds and other leading investors.
Suggested Articles:
- 15 Best States To Live In: 2023 Rankings
- 25 Best Countries for Wealthy People to Move To
- 12 Cheap Utility Stocks to Buy According to Analysts
Disclosure: None. This article is originally published at Insider Monkey.
